“Thanks for sharing that and participating in this forum. I invite you to consider my point of view…”
Docteur-
Your predictions I think may be accurate for the individual homeowner who has a fixed loan, or who used the ARM as a tool but can weather greatly increasing payments.
However, what about the huge percentage who used the ARM because it was the only way to afford a house at all?
And what about the 40% last year alone that bought as investments – planning to turn them before the mortgage reset?
If the % of sales the last few years werent so high in the those two catagories (ARM’s and 2nd home/investment purchases) I wouldnt be so worried. it is the sheer number of them and the way those percentages climbed in the past very few years (from single digit percentages of total sales) that has me alarmed.
What do you think will happen with those two groups?
